high reving on starting + thermostat stuck?

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i have a 97 grand move 1500 efi i have just done the head gasket and got the timing belt on and valve timing set ok, i need to set the staic timing up to get it somewhere near as i havnt got a timing light but not sure where i need to set the notch to and where to conect 12v bulb, i have tried connecting to both wires on distributer and turnd it to see if it went on and off but no luck so where do i connect bulb to set static and where do i needto line pointer up to? also when i start the car it revs to 2000 revs then clibs to 2500 for a few mins the gradually falls to 1000, it does this wherever the distributer is set and if i turn the idle screw down it cuts out when the revs come down. also after running for 5 mins the temp is half way and top hose gets hot but bottom one is stone cold and wont get any higher on gauge but starts slowing down more and then cuts itself out as if thermostat is stuck and is really overheating but still only says half way? any ideas people please any help to get this vehicle on the road appreciated
cheers
dave

checked thermostat

checked thermostat what a pain to get to! u have to reach all way round back of manifold and all pipes ect nearly imposible to get out, dont know how im going to get it back in as its very hard to reach? any tested it and it opens up ok if you boil it, sonot sure whats wrong? heaters are hot in car by the way, not sure whats wrong now

Hope this helps ...........

Static timing.
1. Set timing marks to specification. I assume you know the degree bft etc and where to find the timing marks on fly wheel.
2. Loosen the distributor bolt .... not too loose just enough to allow twisting of distributor.
3. Remove distributor cap.
4. Clip 12v lamp in series between the supplied end of the contact breakers and earth. [When closed gives continuous light - contacts open and light is out].
5. With timing marks set on flywheel, twist the distributor very slowly until the lamp goes off. Timing bft is not set.
6. Tighten distributor bolt and re-test to ensure distributor did not move.
7. If using a strobe timing l;amp connect between low tension on coil and earth. Point the light at the timing marks on the flywheel. You will need to chalk or paint the corresponding marks on flywheel and timing bracket ... enhance the fly wheel mark and also the brackets correct degree bft. If not enhanced the marks will not be visible when strobed. Start the engine and point the light at the marks on the flywheel. If the degree bft corresponds with the mark on the flywheel, then timing is correct. If not loosen the distributor and carefull twist until the timing marks come into line. Do this at tickover - preferably disconnect any vacuum pipe that advances the timing .... not necessary if you keep the revs at tickover.

PS .. I suggest you also:
1. Remove number 1 spark plug ... usually the nearest to the radiator.
2. In low gear push the car until No1 cylinder is at the top of its stroke. At same time check the stroke is on compression and not exhaust ... compression stroke is obvious when holding your finger over the 'spark plug hole'. Also check the timing mark on the flywheel is in-line with the degrees BFT on the timing bracket. Car now in compression stroke and set to fire at correct degree bft. Dont turn the engine any further.
3. Check the distributors rotor arm is supplying No1 cylinder .... easy to follow the HT lead.
4. If the rotor is not pointing to the electrode for No1 cylinder, the distributor is incorrectly fitted. Undo the distributor bolt and twist to correct the position.

Repeat the method to adjust the timing, preferably with strobe lamp.

Thermostat .... have you used the correct type of thermostat? Have you fitted it with the toggle uppermost? Wrong type and it wont open!